Colorado Title Insurance for Refinancing: Protecting Your Home During a Refi
- Jerad Larkin
- 10 hours ago
- 3 min read
Introduction: Refinancing Doesn’t Replace Protection
Refinancing your mortgage in Colorado can be a smart move - whether you’re lowering your interest rate, cashing out equity, or switching loan types. But even though you already own your home, your new lender still needs assurance that their loan will be in first lien position - meaning no other party has a legal claim to the property. That’s where Colorado title insurance for refinancing comes in.
It protects the lender (and indirectly, you) from any ownership issues or liens that may have surfaced since you first bought your home.
Why You Need Title Insurance When Refinancing
It’s easy to think title insurance is only for new homebuyers, but a refinance is actually considered a new loan. Your lender requires a new Lender’s Policy to protect their financial interest.
Here’s why title insurance is critical during a refinance:
Protects the New Lender’s Position – Confirms that no other liens or claims come before theirs.
Detects New Ownership Issues – Covers changes that occurred since your original purchase.
Prevents Delays – Ensures smooth loan closing by clearing any title defects.
Covers Clerical or Recording Errors – Fixes documentation mistakes that could cloud title.
One-Time Cost – The fee is paid once and remains valid for the life of the new loan.
Even if your original Owner’s Policy still protects you, your new lender needs updated protection for their new loan.
What Happens During a Refinance Title Search
When you refinance, your title company performs a new title search to verify:
The property’s current ownership.
Outstanding liens, judgments, or taxes.
Any new easements or property restrictions.
Recording accuracy of prior deeds and mortgages.
If issues are found - such as unreleased liens or old debts - they’re cleared before closing to ensure a clean title.
What Title Insurance Covers During a Refinance
A Lender’s Title Policy for refinancing covers:
Unreleased or hidden liens.
Recording or clerical errors.
Fraud or forgery in public records.
Boundary or legal description mistakes.
Ownership defects impacting the new loan.
While this policy protects your lender, it also helps ensure that your ownership remains legally sound and that your refinance goes through without delay.
Owner’s vs. Lender’s Policy: What’s the Difference?
1. Lender’s Policy
Required by your lender for every refinance.
Protects the lender’s interest in the property.
Expires when the loan is paid off or refinanced again.
2. Owner’s Policy
Protects you, the homeowner.
Typically purchased when you first buy your home.
Remains in effect even through refinances or ownership changes.
You don’t need to buy a new Owner’s Policy when refinancing - only the new Lender’s Policy.
Why Choose Chicago Title Colorado
Jerad Larkin and Chicago Title Colorado make refinancing smooth and secure for both homeowners and lenders.
They provide:
Fast title searches and commitment issuance.
Clear communication with your lender and loan officer.
Secure escrow management for payoff and recording.
Competitive refinance pricing with trusted local service.
Protection backed by Fidelity National Title Group.
Whether you’re refinancing your first home or an investment property, Chicago Title ensures every step is handled with precision and care.
Real-Life Examples
A Denver homeowner avoided delays when Chicago Title cleared an old lien from 2012 during a refinance.
A Boulder couple refinanced their home after ten years - the new Lender’s Policy confirmed clean title.
A Colorado Springs investor refinanced three properties simultaneously with streamlined title coordination.
How Much Does Title Insurance Cost for Refinancing?
Colorado title insurance rates are regulated by the Division of Insurance.
For refinance transactions, rates are often discounted, typically between $400–$1,000, depending on loan amount and property value. It’s a one-time payment due at closing and valid for the life of your new loan.
Conclusion
Even when you already own your home, title insurance plays a vital role in protecting your refinance. Colorado title insurance for refinancing safeguards both you and your lender from hidden ownership issues, ensuring your new loan is secured against a clean title. With Jerad Larkin and Chicago Title Colorado, you can refinance with confidence - knowing every legal and financial detail is handled by experts.
Questions? Contact:
Questions? Contact Jerad Larkin at Chicago Title Colorado.
📞 303.630.9430
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